The present invention provides a process which reuses the used excess paddy soak hot water for paddy soaking in the subsequent batches of paddy parboiling process. The invention relates to in situ treatment of used paddy soak waste water for reusing the water in paddy soaking process, thereby conserving water and additional fuel requirement making the process cost and energy efficient. The present invention greatly helps in reducing the water requirement at the soaking step. The process involves soaking the paddy rice in required quantity water in a soaking tank, transferring the unabsorbed hot soak-waste water into an insulated holding tank, allowing heavy impurities to settle in the holding tank to obtain clear supernetant water and reusing the clear supernetant for soaking fresh batch of paddy rice and repeating the process, thereby achieving almost 80% water and energy conservation in parboiling process. Moreover, the process is eco-friendly and reduces load on natural resources.